AppLovin (NASDAQ:APP) Shares Down 6.3% – Time to Sell?

AppLovin Corporation (NASDAQ:APP)’s share price traded down 6.3% on Friday . The stock traded as low as $559.82 and last traded at $568.76. 8,528,184 shares were traded during trading, an increase of 78% from the average session volume of 4,795,649 shares. The stock had previously closed at $606.99.

Analysts Set New Price Targets

A number of brokerages recently commented on APP. Weiss Ratings lowered AppLovin from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Thursday. Deutsche Bank Aktiengesellschaft set a $705.00 price objective on shares of AppLovin and gave the company a “buy” rating in a research note on Wednesday, October 22nd. Royal Bank Of Canada increased their price objective on shares of AppLovin from $700.00 to $750.00 and gave the stock an “outperform” rating in a research note on Thursday, November 6th. Oppenheimer set a $740.00 target price on shares of AppLovin in a research report on Tuesday, October 7th. Finally, Benchmark increased their price target on AppLovin from $700.00 to $775.00 and gave the stock a “buy” rating in a research report on Thursday, December 11th. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, AppLovin presently has a consensus rating of “Moderate Buy” and an average price target of $706.76.

AppLovin Stock Performance

The stock has a market cap of $192.22 billion, a price-to-earnings ratio of 69.02, a P/E/G ratio of 2.04 and a beta of 2.50. The firm’s 50-day moving average is $640.45 and its two-hundred day moving average is $550.77. The company has a current ratio of 3.25, a quick ratio of 3.25 and a debt-to-equity ratio of 2.38.

AppLovin (NASDAQ:APP) last announced its earnings results on Wednesday, November 5th. The company reported $2.45 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.34 by $0.11. The company had revenue of $1.41 billion for the quarter, compared to analysts’ expectations of $1.34 billion. AppLovin had a net margin of 51.27% and a return on equity of 258.49%. The firm’s quarterly revenue was up 68.2% on a year-over-year basis. During the same quarter in the previous year, the company posted $1.29 EPS. As a group, sell-side analysts expect that AppLovin Corporation will post 6.87 earnings per share for the current year.

Insider Buying and Selling at AppLovin

In other AppLovin news, insider Victoria Valenzuela sold 7,609 shares of the stock in a transaction dated Thursday, December 18th. The shares were sold at an average price of $657.13, for a total value of $5,000,102.17. Following the completion of the sale, the insider owned 277,110 shares in the company, valued at approximately $182,097,294.30. This represents a 2.67% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Dawson Alyssa Harvey sold 150 shares of the firm’s stock in a transaction that occurred on Monday, December 8th. The stock was sold at an average price of $693.32, for a total transaction of $103,998.00. Following the completion of the transaction, the director directly owned 2,829 shares in the company, valued at $1,961,402.28. This trade represents a 5.04% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 340,336 shares of company stock worth $200,062,623 in the last 90 days. 13.66% of the stock is currently owned by insiders.

Hedge Funds Weigh In On AppLovin

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Revolve Wealth Partners LLC acquired a new position in shares of AppLovin during the 4th quarter valued at about $294,000. Bison Wealth LLC purchased a new position in AppLovin during the fourth quarter worth about $239,000. Integrated Wealth Concepts LLC raised its stake in AppLovin by 58.0% during the first quarter. Integrated Wealth Concepts LLC now owns 1,692 shares of the company’s stock worth $448,000 after purchasing an additional 621 shares during the period. MassMutual Private Wealth & Trust FSB boosted its holdings in AppLovin by 147.6% in the 2nd quarter. MassMutual Private Wealth & Trust FSB now owns 312 shares of the company’s stock valued at $109,000 after purchasing an additional 186 shares during the last quarter. Finally, Financiere des Professionnels Fonds d investissement inc. purchased a new stake in shares of AppLovin in the 2nd quarter valued at approximately $481,000. Institutional investors and hedge funds own 41.85% of the company’s stock.

AppLovin Company Profile

AppLovin Corporation is a Palo Alto–based mobile technology company that provides software and services to help app developers grow and monetize their businesses. The company operates a data-driven advertising and marketing platform that connects app publishers and advertisers, delivering tools for user acquisition, monetization, analytics and creative optimization. AppLovin’s technology is integrated into a broad set of mobile applications through software development kits (SDKs) and ad products designed to maximize revenue and engagement for developers.

Key components of AppLovin’s offering include an ad mediation and exchange platform that enables publishers to manage and monetize inventory across multiple demand sources, and a user-acquisition platform that helps advertisers target and scale campaigns.